A financing applicant should fulfill the following general requirements in accordance with Article Five in the implementing regulation for financing small and micro enterprises. They are as follows:

1. The applicant should be a Saudi national.
2. The applicant should not be younger than 21 and not older than 60 years old.
3. The applicant should pass the personal interview.
4. The applicant cannot present two financing applications of the bank financing programs.
5. The applicant should be work full time to manage his / her project
6. The applicant should have a credit history that entitles him / her to obtain the funding.
7. The applicant must provide a real estate guarantee or a personal security (surety bond) of no less than 70 % of the total sum of the financing required from the bank.
8. The enterprise should be economically and technically feasible.
9.  The enterprise should be new or under construction.
10. The required financing should not exceed one million (1.000.000) Saudi Riyals.
11.  

Rules and Obligations of the Application

The bank demands that the financing applicant be committed to fulfill the following obligations. In case he / she fails to satisfy them, the Social Development Bank has the right to cancel his / her financing application at any stage of the application, seize the enterprise in case part or whole of the fund was disbursed to the client and claim the total fund which the client has received.
 

• The bank reserves the right to demand that the financing applicant present a detailed economic feasibility study of the enterprise without any obligations on the part of the bank to approve the financing application or reimburse him / her.
• Signing an undertaking on the validity and accuracy of the information presented in the financing application, the personal interview and the validity of the presented documents, while ensuring that the presented document duplicates match the originals.
• Signing an undertaking of dedicating full-time management to the enterprise under financing after signing the financing agreement with the bank.
• Signing an undertaking of his /her full knowledge of the bank implementing regulation for financing small and micro enterprises and his / her full commitment to all the regulations and procedures stipulated in it.
• Signing a statement granting the bank the right to obtain credit history of the client form SIMAH company.
• Signing an undertaking to commit to the provision of all the information about the enterprise during establishment and after operation, assisting the bank with all the accounting and financial data, bank statements and other information which the bank requires about the enterprise.
• Signing a statement declaring his full knowledge that the financing payments are dependent upon the percentage of achievement in the enterprise.
• Signing a statement of his full knowledge that the loan is paid through monthly installments.
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Application Times

Funding applications are received and processed in collaboration with partner entities. The dates for submitting and processing the applications are determined based on the procedures adopted by the specific partner entity, which are usually detailed on the website of the partner. 

 

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